Writing an offer on a San Antonio home outside Loop 1604? The Texas option period can make or break your deal. If you understand how the days, fees, and deadlines work, you can protect yourself without losing your competitive edge. In this guide, you’ll learn the essentials, see practical suburban examples, and get a clear plan for inspections and repair talks. Let’s dive in.
Texas option period basics
The option period is a short, negotiated window that gives you an unrestricted right to terminate your Texas residential resale contract for any reason. You must deliver written notice to the seller before the option period expires. If you terminate during this time, the seller keeps your option fee. If you do not terminate, you remain obligated to close under the contract terms.
The option period and fee are set in your contract, most commonly the Texas Real Estate Commission One to Four Family Residential Contract (Resale) or an equivalent Texas REALTORS form. The option fee is separate from earnest money and is paid to the seller or escrow agent as the consideration for your right to terminate during the option period.
How it works in the contract
- You and the seller agree to a number of days for the option period and an option fee amount.
- You pay the option fee as required by the contract. This is separate from earnest money.
- You can terminate for any reason during the option period with timely written notice.
- If you do not terminate before the deadline, you lose the unconditional right to walk away under the option.
Termination, fees, and earnest money
- If you terminate during the option period, the seller keeps the option fee.
- If you terminate on time under the option, your earnest money is typically returned, following the contract and the title company’s procedures.
- If you proceed past the option deadline, later termination usually requires another contract-based reason or a mutual agreement.
- The option fee is commonly credited toward the purchase price at closing if you do not terminate. Confirm this in your contract and settlement instructions.
Timelines and fees in San Antonio
Common option periods range from 3 to 10 days. In a hotter market, sellers may push for 1 to 3 days or for buyers to waive the option entirely. Option fees often range from $100 to $500 for ordinary single-family homes, though buyers sometimes offer higher fees in competitive situations.
Outside Loop 1604 in areas like Stone Oak, Alamo Ranch, and Helotes, competition can vary by submarket and price point. On popular listings, expect sellers to favor shorter option windows and stronger fees. On calmer listings, you may secure more time and a modest fee without harming your position.
Choose your option strategy
- Low-risk balance: 5 to 7 days with a $200 to $300 fee.
- Competitive edge: 1 to 3 days with a $300 to $1,000 fee, adjusted to the listing’s heat.
- High-risk approach: Waive the option to win a bidding war, understanding you lose the unconditional right to terminate after inspections.
Inspections and repairs
Use the option period to inspect, confirm condition, and negotiate repairs or credits. Schedule your main inspection as soon as the contract is effective so you have time to review results and respond.
Common inspections include a general home inspection plus, as needed, pest or wood-destroying insect, roof, foundation or structural engineer, septic, pool, HVAC, radon if relevant, and mold if there are signs of moisture issues.
Negotiation levers that work
- Request seller credits toward closing costs rather than insisting on completed repairs.
- Offer a reasonable repair cap so the seller knows their maximum exposure.
- Prioritize safety and major systems such as roof integrity, HVAC performance, electrical hazards, plumbing issues, and significant foundation concerns.
Offer tactics outside Loop 1604
You can stay competitive while protecting yourself with a smart mix of time, fees, and terms:
- Short window, strong fee: 3 days with a higher option fee, such as $500, to keep an inspection escape while signaling confidence.
- Longer window, stronger offer: 7 days with a standard fee paired with a stronger price, higher earnest money, or a flexible closing timeline.
- Pre-offer inspection: When feasible, inspect before submitting your offer so you can shorten or adjust the option period with confidence.
- Repair cap addendum: Agree that the seller will credit or address repairs up to a set amount.
- Price escalation with inspection protection: Pair a price escalation clause with a short option window to balance competitiveness and risk management.
Scenario A: Multiple offers in Stone Oak
You offer full asking price, a 2-day option with a $750 option fee, and 1 percent earnest money. The short option and stronger fee make your offer attractive because they reduce the seller’s calendar risk.
Scenario B: Calmer Alamo Ranch listing
You offer a 5-day option with a $250 option fee and a slightly under-asking price. The balanced market allows a bit more time without losing the seller’s interest.
Scenario C: Max protection approach
You request a 10-day option with a $200 fee, order a full inspection suite, and negotiate repair credits with a cap based on findings. This prioritizes risk control while setting clear expectations.
Buyer pre-offer checklist
- Review a comparative market analysis for recent sales.
- Confirm days on market and any multiple-offer signals.
- Read seller disclosures and any available prior inspection reports.
- Note utilities, HOA details, and any septic or well considerations where applicable.
- Ask for relevant title and HOA documents early when possible.
Bexar County inspection red flags
- Foundation movement or settling that warrants a structural opinion.
- Roof age, condition, and signs of active leaks.
- Septic system performance or older sewer laterals where applicable.
- HVAC age, service records, and cooling performance in summer conditions.
- Drainage and grading that could lead to standing water or moisture intrusion.
Deadlines and escrow
Your right to terminate under the option requires timely written notice before the deadline. Confirm the required notice method in your contract and obtain proof of delivery. Your agent should confirm that the option fee was delivered as specified in the contract.
Ask the title company how earnest money releases are handled if you terminate during the option period, and how quickly funds are returned. Confirm whether the option fee will be credited at closing on the settlement statement if you proceed.
If you waive the option
Waiving the option removes your unconditional right to terminate after inspections. You still retain other contractual remedies, such as those tied to disclosures or breaches, but you cannot terminate for no reason after the option period would have applied. If you plan to waive, consider a pre-offer inspection so you understand major issues in advance.
Ready to buy with confidence?
You deserve calm, clear guidance that protects your interests while keeping your offer competitive. If you are targeting suburban homes outside Loop 1604 or considering a North Side move, let a local expert help you shape the right strategy for your goals. Connect with Krista Boazman for tailored advice on timelines, fees, inspections, and negotiations.
FAQs
What is the Texas option period in a home purchase?
- It is a negotiated window of days when you can terminate for any reason with written notice, in exchange for paying an option fee separate from earnest money.
How long is a typical option period in San Antonio?
- Common ranges are 3 to 10 days, with 1 to 3 days more common on competitive suburban listings and longer periods possible in calmer conditions.
What happens to my option fee and earnest money if I terminate?
- The seller keeps the option fee, and your earnest money is typically returned if you terminate during the option period per the contract and title procedures.
How should I schedule inspections during the option period?
- Schedule immediately after the effective date, complete main inspections early, and leave time to review results and negotiate repairs or credits before the deadline.
What if the seller refuses all repair requests after inspections?
- You can accept the property as is, renegotiate, or terminate within the option period. After the deadline, termination requires another contract reason or mutual agreement.
Can I stay competitive without waiving the option period?
- Yes. Shorten the option window, raise the option fee, consider a pre-offer inspection, or use a repair cap to balance protection with a stronger offer.